Audax Private Debt has closed Audax Direct Lending Solutions Fund III with $10 billion of investable capital, marking the largest fundraise in the firm’s history.
The $10 billion figure includes targeted leverage, commitments in vehicles investing alongside DLS Fund III, and an investment from the General Partner.
The significantly oversubscribed fund closed at its hard cap with $5.4 billion in equity commitments, exceeding its $4 billion target. Equity commitments were nearly twice those of predecessor DLS Fund II, which closed with $3 billion in equity commitments and more than $5 billion of investable capital in 2022.
Following the closing, Audax Private Debt manages more than $30 billion of total assets focused on the core middle market and has raised more than $47 billion since its founding in 2000.
DLS Fund III provides financing to private equity-owned middle-market companies and can commit up to $350 million per transaction. The fund has already committed approximately $1.5 billion of capital.
The fund attracted commitments from more than 100 institutional investors worldwide, including pension funds, sovereign wealth funds, insurance companies, family offices, endowments, foundations, and high-net-worth investors.
Since inception, Audax Private Debt has invested $56 billion across more than 1,350 transactions and provided financing to over 300 private equity sponsors.
KEY QUOTES:
“The close of our firm’s largest fund to date is an important milestone for Audax Private Debt and enhances our capabilities in providing financing solutions to the core middle market. We are grateful for the strong support we received from investors, which we believe reflects their appreciation of the differentiated exposure we provide as we execute the strategy that has guided Audax Private Debt through a variety of economic and market environments over the last 26 years.”
Kevin Magid, Chief Executive Officer of Audax Private Debt
“DLS Fund III is a landmark fundraise for Audax Private Debt and allows us to further support borrowers and our private equity clients with flexible, scalable financing solutions while we remain highly selective in how we deploy capital. Our platform combines institutional scale, deep sponsor relationships and a disciplined underwriting approach, positioning us to deliver tailored financing solutions to middle market businesses and attractive outcomes for our investors.”
Steve Ruby and Rahman Vahabzadeh, Managing Partners of Audax Private Debt
